2024 (10) TMI 1433 - HC - GST

Challenge to assessment order - personal hearing was not provided - violation of principle sof natural justice - HELD THAT - On examining the show cause notice, the contention of learned counsel for the petitioner that no personal hearing was offered is liable to be accepted. As per Section 75(4) of the applicable GST statutes, a personal hearing is mandatory either if requested for or if an order adverse to the registered person is proposed to be issued. Since this mandatory requirement was not complied with, the order calls for interference. The impugned assessment order dated 01.09.2023 is quashed and the matter is remanded for re- consideration by the assessing officer. The petitioner is permitted to file a reply to the show cause notice within a maximum period of two weeks from the date of receipt of a copy of this order - Petition disposed off.

Summary

The High Court of Madras quashed an assessment order challenged by the petitioner due to lack of personal hearing. The matter is remanded for re-consideration, with the petitioner allowed to file a reply to the show cause notice within two weeks. The assessing officer must provide a reasonable opportunity for a personal hearing and issue a fresh assessment order within two months. The ITC amounts reversed in December 2023 will be dealt with in the remanded proceedings. The attachment orders on the petitioner's bank accounts are lifted. Case W.P.No.2532 of 2024 is disposed of with no costs.